Corvelle Drives Concepts to Completion

Making the Case forMaster Data Management

Gas & Oil ExpoJune 2011

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Corvelle Drives Concepts to Completion

Yogi SchulzBiography

Partner in Corvelle Consulting Information technology related management consulting Microsoft Canada columnist & CBC Radio host PPDM Association board member Industry presenter:

– Project World - 4 years– CIPS Informatics - 7 years– PMI - Information Systems SIG - 2 years– Convergence - 4 years– PPDM Association - several years

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PresentationOutline

Objectives Value of MDM MDM Business Benefits MDM Program Scoping Themes Selling the MDM Program Conclusions Recommendations

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Master Data ManagementDefined

Master data management (MDM) comprises a set of processes and tools that consistentlydefines and manages the non-transactional data of an organization

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Problem

Benefits case for MDM is not well understood

MDM is not well sold

Before I make my drilling decision, show me those

meaningless statistics again

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PresentationObjectives

Understand the business case for MDM

Learn how to effectively sell MDM

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Value of MDM

Enable business intelligence applications Assure single source of truth Improve data accessibility Reduce data

cleaning effort

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MDM Opportunity Evaluation

Reduce risk:– Pick winners– Avoid losers

Evaluate more scenarios:– producing asset

acquisition– pool development– well design

Revenue

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MDM Operational Effectiveness

Volumetric accuracy:– exploitation decisions

Cost accuracy:– production optimization

Agreement accuracy– acquisition and

divestiture decisionsCosts

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MDM Business BenefitsOperational

Oil & gas producer requirement

MDM contribution

Increase revenue from ensuring accuracy and completeness

VolumetricsBilling of processing feesJoint venture invoices

Improve operational efficiency

Cost dataBusiness processesData quality

Increase regulatory compliance

Consistent data collectionReporting data

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MDM Business BenefitsStrategic

Oil & gas producer requirement

MDM contribution

Improve organization agility

Rapid access to impact analysis data

Improve decision making Data qualityData integration

Accelerate cycle times Data accessibility

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MDM Technical Benefits

Oil & gas producer requirement

MDM contribution

Reduce the cost of business processes

Data duplicationData quality

Improve information management efficiency

Share and analyze infoData integrationRedundant data management activities

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MDM ProgramScoping Themes

Themes– Geographic Area Coverage– Reservoir Type Coverage – Functionality Features– Asset Life Cycle Coverage

Criteria– Business benefit– Complexity

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Selling the MDM Program

Focus on business benefits Project sponsor leads the selling Highlight impacts of recent data quality

shortcomings Avoid references

to technology Don’t over-promise

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Conclusions

MDM programs offer significant benefits to oil & gas producers

MDM programs have been hampered by:– Poor business cases– Focus on technical benefits– Grandiose scope

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Recommendations

Create a clear business case Have the project sponsor

present Develop an MDM program of

several releases

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Corvelle Drives Concepts to Completion

Questions &Discussion

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Can you help usmake the case

for MDM?Pleasefill out

evaluationform

Corvelle Drives Concepts to Completion

Making the Case forMaster Data Management

Corvelle Consulting300, 400 - 5 Ave. S. W.Calgary, Alberta T2P 0L6Phone: (403) 249-5255E-mail: YogiSchulz@corvelle.comWeb: www.corvelle.com

Yogi SchulzPartner of Corvelle ConsultingInformation technology related

management consultingMicrosoft Canada columnist & CBC

Radio hostIndustry presenterPPDM Association board member

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Corvelle Drives Concepts to Completion

Bibliography

Building a robust business case for high quality master data– Andy Haler, February 2010– http://www.manjeetss.com/articles/MDM/InfoDifference_Quality_Master_Data.pdf

Building the Business Case for Master Data Management– CapGemini, Informatica, May 2011– http://storage.vuzit.com/public/33cv7/Building_the_Business_Case_for_Master_Data_Management__MDM

_.pdf

The business case for master data management– Mark Smith, January 2007– http://

www.ventanaresearch.com/uploadedFiles/The%20Business%20Case%20for%20Master%20Data%20Management.pdf

E&P Prospect to Spud Life Cycle Solution– ESRI Petroleum User Group – 2010– http://proceedings.esri.com/library/userconf/pug10/papers/samsons_integrated_prospect_to_spud_well_lif

ecycle_managment_system.pdf The International Conference on Information Quality (ICIQ)

– http://www.iciq2010.org/ Making the Business Case for Master Data Management

– Amol Patil, August 28, 2008– http://advice.cio.com/infonitive/making_the_business_case_for_master_data_management_mdm19

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Bibliography

Master Data Management Benefits, May 21, 2011– http://www.mdmsource.com/master-data-management-benefits.html

Master Data Management for the Masses of Data– InfoTech, February 24, 2009

MIT IQ Industry Symposium (IQIS)– http://www.eriqlab.org/mit/index.html

Monetizing Data Management– http://erwin.com/uploads/erworld/Monetizing%20Data%20Management_09162010.pdf

P2 Energy Solutions - integrated well lifecycle management tools– http://www.p2energysolutions.com/well-lifecycle

Positioning Master Data Management for Success– Yogi Schulz, 27 October 2010– http://corvelle.com/presentations/ppdm/positioning.html

PPDM master data at heart of Oracle’s Digital Oilfield - February 2008– http://www.ppdm.org/community/PPDM_data_at_heart.html

Staying Relevant in Today’s Changing Data Management Environment– http://erwin.com/events/detail/staying_relevant_in_todays_changing_data_management_environm

ent/

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MDM Adoption Reasons

• Reduce time spent in reconciling data from disparate sources

• Assign accountability for the quality of information

• Unable to determine which spreadsheet had correct data

• Respond to rising costs of errors in data

• 33 percent

• 17 percent

• 12 percent

• Not specified

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Corvelle Drives Concepts to CompletionCorvelle Drives Concepts to Completion