Technology Management, Key to Iran Drilling Industry
By Hadi Mohammadi
One of the most important characteristics of the current era is the fast pace of developments. New technologies are emerging and commercial equations are disrupted. Management systems are required to catch up with these changes. Technology-oriented companies are either developers of technology or benefiting from technologies they purchase. These companies must have a system to regularly monitor basic, key and emerging technologies in the world so that it would determine the appropriate time and method for the application of technology. As much as a correct process of transfer of technology would help boost the technological skills of an organization and end in the acquisition of technical knowhow, its improper application may lead to the waste of resources, permanent dependence and weakening of endogenous research and development within the organization.
In this article, technology management is introduced as an interdisciplinary issue connecting science, engineering and management. Then, musts and mustn'ts, challenges of technology-based industries including oil and gas industries and practical approaches would be discussed.
Technology Management and Successful Managers
Today, in scientific issues, technology is defined as the collection of knowledge, products, procedures, tools, methods and systems, which contribute to the manufacturing of commodities or provision of services. Technology is a knowledge which we use for manufacturing commodities, providing services and improving the use of our valuable but limited resources.
Management of technology comprises five major procedures. They are closely linked and the absence of either of them would leave the puzzle of technology management incomplete. These five procedures are as follows:
- Exploration and identification of relevant technologies
- Selection of technologies needed by enterprises
- Acquisition of technology
- Application of technology
- Protection of technology and technical expertise
Technology in Oil/Gas Drilling
Oil and gas drilling industry is nearly century-old. This industry is following a quite calm route towards upgrading technology and we have not yet seen any revolutionary changes in this industry.
Of course, in compliance with the hardship of working in this industry and in light of necessity and conditions, most changes have been focused upon further mechanization of affairs in operation and control sections on the one hand ,and information gathering by applying new technologies, on the other.
According to new divisions, technologies applied in drilling industry are classified under drilling and technical services categories.
The drilling sector involves drilling rig (structure, pumps, engines and generators, mud rotary system, transmission system and drill working). Over recent years, the drilling system has not changed too much and rotary drilling system is still being used.
Compared with drilling, specialized technical services have seen more technological changes. In recent years, new services based on modern technologies have entered the drilling industry. This section includes cement, acid, coiled tubing, well testing, well completion, logging, drilling mud data and even services provided to oil and gas wells outside drilling operations.
From the standpoint of classification of technologies, the most important basic technologies for drilling industry in Iran include rotary drilling technology, drilling fluid technology, cementing technology, pipe laying technology, well testing technology, well completion technology and acidizing technology.
In this classification, key technologies include topdrive technology, downhole engines, horizontal and directional drilling, drilling with coiled tubing, air drilling, extended reach drilling, underbalanced drilling, deepwater drilling, high-temperature and high-pressure drilling and small-diameter well drilling.
With regard to emerging technologies, the situation is definitely different from the other two cases. In today’s oil and gas drilling industry, big companies invest in technology and are willing to be the first holder and user or seller of a significant emerging technology. To that effect, they are experiencing big jumps.
Among major points which have come to the fore in recent years in the world of technology in general and in drilling technology in particular, one may refer to drilling with casing, lab-scale laser drilling, nanotechnology and its use in drilling, information technology (IT), and automation technology, modern technology in materials and metallurgy, modern technology in chemistry, biochemistry and biotechnology.
Technological Status of Drilling Companies
Based on basic, key and emerging technologies explained here, the status of each company involved in the oil and gas drilling industries is determined. The companies are assessed on the basis of the technology they apply in their drilling operations.
Companies with basic technology often work out strategies for copying new technologies.
Medium-level companies with key technology have competitive advantages. Technologies and intelligent properties provide separate commodities for these companies. These companies are no leader in technology and they try hard to develop from this aspect. These organizations could be described as “progressive followers”. Change and improvement are often the strategy adopted by these companies for acquiring technology. However, they might pursue the case in a different way to become a leader of technology through getting license.
Companies with highest level of technology are emerging. The companies making progress in the market are often filled with new commodities and offer new services. The strategy of technology acquisition by these companies is invention and improvement.
For instance, if an organization intends to become a progressive one, the strategies of acquisition of technology should change, too. Organizations have often different types of technology in different parts of their chart. Big companies with clearly defined strategy often benefit from their strengths in some sections of technology for assisting weaker sections.
In the oil and gas drilling industry, multinational and Western companies have long been “leading in the market.” By getting linked to prestigious universities in the world and by earmarking a high percentage of their budget to research and technology, they have always developed new technologies for this industry. In addition, from time to time, they have presented new versions of their technologies in a bid to keep the market dependent on themselves.
Level II companies in this industry are often companies in the East, mainly from China. These companies often buy technology before trying reverse engineering and developing their own brand. In the next step, these companies would acquire a big share of the market as vendors of technology.
The highest number of companies in this industry is classified under Level III companies. Most drilling service providing companies concentrate their efforts on acquiring customary technologies for getting a share of the market and not introducing their latest services. In other words, when technology goes from emerging to key stage and then to basic stage, this technology would be exclusively purchased and used.
In Iran, oil and gas drilling companies and technical service providers have expanded their activities in the aftermath of the 1979 Islamic Revolution and specifically in recent years.
Most of these companies are categorized under the three classes of technology explained earlier. However, a few number of big companies involved in this industry have developed links with prestigious universities including Sharif University of Technology, University of Tehran, Amir Kabir University of Technology, Petroleum University of Technology, Research Institute of Petroleum Industry, Shahid Chamran University, Khuzestan Park of Science and Technology and several other academic research centers. These universities and research centers are known as centers of excellence in different sectors of technology related to drilling.
Conclusion
Based on what was outlined above, for technology-oriented companies involved in the drilling industry, making decision about the level of technology they intend to be classified under is a very vital and strategic move.
These companies have to set technology management as one of their main pillars and while monitoring the status of technology in their structure, analyze and make decision about preservation or elimination of technology through their technology management system.
Moreover, companies willing to be classified in the second or third levels are required to conduct studies and follow up on world drilling technologies through establishing a future prospect unit as one of their most essential measures. They should also strengthen their research and development units to develop a precise plan for acquiring their necessary technologies.