Managing Exploration Performance: A Case Study For The Use Of The Internet To Enable Real Time Portfolio Management

摘要

This paper describes how BP designed and set up a web-basedsystem to manage the performance of their Near FieldExploration programme. The programme is characterised by adynamic high volume of activity, as compared with moretraditional exploration. Therefore capital must be managedand moved between business units throughout the year tocontinuously maximise production delivery for a given levelof exploration spend.The traditional methods of managing exploration, with annualcapital allocation and ‘in-year’ quality assurance were notappropriate. The Near Field Group evolved a process basedaround quarterly meetings to review performance and agreethe next quarter’s activity. In effect, the group’s goal was tomanage the near field portfolio on a real time basis tocontinuously optimise performance. To achieve this goalaccurate data on the individual investment options became anessential requirement.The Internet provides a technological solution to support thisprocess. BP, with external assistance, built a web-basedsystem for collecting and managing individual investmentoptions. A ‘Rapid Build’ approach using ColdFusion andother Internet technologies was used to develop and deploy a‘live’ system within four months. The system is databasedriven utilising a web-interface to gather and display datathrough a series of forms and summary cards. It also offersthe ability to display real time data through a series ofcustomisable reports and dynamically generated graphs. Theapplication resides on BP’s intranet and forms a networkingtool for all the business units in the Near Field Group. Theprimary function of the system is a commercial prospectdatabase, which is regularly updated through the web at eachlocal office. The database contains details of current andfuture prospects and also manages data on completed projects(both success and failure) in order to monitor their productiondelivery through time. This allows continual refinement of thegroups technical prediction accuracy.The system has been implemented for over two years and theability to dynamically manage a portfolio on a real time basishas proved its worth; the Near Field Exploration programme isa great success. Many other features to facilitate collaborationhave been incorporated. A significant benefit is the ability tocollectively make investment decisions without meeting faceto face. In today’s business climate the ability to make fastermore informed decisions with confidence is essential.