One of the major business activities of the oil and gas industry is the global supply-chain. It is involved in international, as well as domestic transportation, control, handling of materials, ordering and inventory visibility import and export facilitation and information technology. Supply-chain management is very vital to the oil and gas industry. That is why it has to integrate Management Information System into the entire organization.
Management Information system is a type computer information system helps lower management in solving problems and making decisions at their level. They use the results of transaction processing and other information. MIS is a set of information processing functions. It can handle questions as quickly as they come. It focuses on the management of information systems to provide strategic decision making that are efficient and effective. It includes other systems, such as:
- Transaction Processing Systems
- Decision Support systems
- Expert Systems
- Executive Information Systems.
The database is an important element of MIS. It is a collection of data items that are interrelated and can be processed through application programs and made available to several users.
Supply chain management decisions at all levels of the oil and gas industry involves configuration, coordination and improvement. In each case, there are issues to be considered. In configuration management decision involves the following issues:
- What product-service bundle to produce
- What portions of the bundle to produce in house and what portion to buy from others
- Capacity of the facility
- Facilities locations
- Type of technology to apply
- Handling communications between suppliers and customers
- Standards expected by customers and suppliers
Benefits of Management Information System in the Oil and Gas Industry
- It can accommodate the growing virtualization of a multinational business.
- Exploration and production will benefit when data management and access, interlocking the experiences of local and contrasting workers, saturating investments and operational decisions are simplified and streamlined.
- Adapting a supply-chain wide technology can also allow every user of the system to see a single file system.
- Users can access all computational servers with high speed data access.
- It allows users to connect to a real-time high speed visualization
- It allows users to participate in realistic collaboration
- It provides instant service wherever the location of the user or desktop device.
- It allows administrators to manage the enterprise from anywhere.