OMV’s Digital Journey reached first destination
OMV, the international, integrated oil, gas and chemical company headquartered in Vienna, has successfully completed its first SAP S/4HANA Go-Live for OMV Corporate as part of the group wide S/4Future Program. The implementation of SAP S/4HANA is an essential part of the company’s digitization strategy “OMV’s Digital Journey” and supports OMV’s positioning among the digital leaders in the industry. The program enables improvements in security, speed, quality and costs of essential processes in OMV. Harmonized data across the divisions and real-time analyzes for agile decision-making will be enabled, while the complexity of the system landscape will be reduced by creating a modern architecture for the journey to the Cloud.
“The positive effects will be felt in all business divisions and for our employees in all areas. User experiences in our procurement processes or automation and graphical user interfaces in the field of Intelligent Asset Management and Predictive Maintenance, just to name some, will be improved,” emphasizes SVP Andreas Roth, CIO OMV Group, Director Digital Office & SAP S/4HANA.
The group wide S/4Future Program covers all divisions and countries and is therefore the largest SAP implementation in OMV´s history. Hence, OMV decided for a dual vendor strategy, where Accenture and IBM have been chosen as strategic implementation partners.
For the S/4HANA implementation of OMV Corporate and OMV Downstream division, IBM Global Business Services (GBS) is the system integrator and has put together an international team of experts with experience in the oil and gas industry, as well as deep functional and process expertise. With the limitations imposed by the COVID-19 measures, OMV and IBM decided to move to a 100% remote delivery model in order to maintain the forward drive of the program.
In the Corporate S/4Future Program, OMV and IBM are jointly building the foundation for the group wide harmonization of processes and data by using latest SAP technologies such as Central Finance and Master Data Governance leveraging a hybrid cloud approach.
In the Downstream S/4Future Program, IBM and OMV are building the new harmonized Global Core for the Downstream operations, with OMV leading the way in the Oil & Gas industry by applying latest SAP technologies leveraging hybrid cloud and integrating Downstream Oil and Retail industry solution and multiple legacy SAP systems into a single S/4HANA system.
OMV’s Upstream division relies on the consultancy of Accenture. The entire exploration and production area of oil and gas will be moved from the existing system to the new system, new modules will be introduced, business and process improvements will be achieved. SAP S/4HANA thus creates the basis for a company-wide, digital platform.
Accenture has put together an international team of 50 experts who have both industry-specific expertise from the oil and gas sector and functional expertise. Due to the current pandemic situation, the teams are working remotely. The project started in June 2020 and will be finalized first half of 2022.
OMV produces and markets oil and gas, as well as chemical solutions in a responsible way and develops innovative solutions for a circular economy. With Group sales revenues of EUR 17 bn and a workforce of around 25,000 employees in 2020 (incl. Borealis), OMV is one of Austria’s largest listed industrial companies. In Upstream, OMV has a strong base in Central and Eastern Europe as well as a balanced international portfolio, with Middle East & Africa, the North Sea, Russia and Asia-Pacific as further core regions. Daily average production was 463,000 boe/d in 2020. In Downstream, OMV operates three refineries in Europe and owns a 15% share in ADNOC Refining and ADNOC Global Trading, with a total annual processing capacity of 24.9 mn tons. Furthermore, OMV operates about 2,100 filling stations in ten European countries and runs gas storage facilities in Austria and Germany. In 2020, total natural gas sales volumes amounted to around 164 TWh. In the chemicals sector, OMV, through its subsidiary Borealis, is one of the world’s leading providers of advanced and circular polyolefin solutions and a European market leader in base chemicals, fertilizers and the mechanical recycling of plastics. Borealis operates in over 120 countries. In 2020, Borealis generated EUR 6.8 billion in sales revenue. The company supplies services and products to customers around the globe through Borealis and two important joint ventures: Borouge (with the Abu Dhabi National Oil Company, or ADNOC, based in UAE); and Baystar™ (with Total, based in the US). Sustainability is an integral part of OMV’s corporate strategy. OMV supports the transition to a lower-carbon economy and has set measurable targets for reducing carbon intensity.