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Smedvig

Smedvig, listed on the New York and Oslo stock exchanges, is a leading offshore drilling contractor. The company’s activities are chiefly focused on drilling and well services in three main markets: mobile units, platform drilling and tender rigs. Headquartered in Stavanger, Norway, Smedvig has some 3,000 employees and reported revenue for 2001 in excess of US $ 540 million.

IFS Applications provides Smedvig with faster and better access to business-critical information. Collaborating with IFS has also taught the company to adopt a more systematic approach to process modeling and related issues.

The challenge

In mid-1998, Smedvig realized that the business systems it used for maintenance, logistics and procurement were too old, not scalable, too limited in terms of functionality and flexibility and, above all, too vulnerable.  Moreover, the competence to maintain and develop the software, which was unique to Smedvig, was limited. One of the main requirements was that it should be a tool for process improvements. Another important requirement was the interface with financials because Smedvig needed fast and accurate information about costs related to its various commitments. In the old system this was done manually, and could be up to a month late.

The solution

Smedvig initiated a major procurement process to review company processes for supply chain management and maintenance. The result was a requirement specification that was sent to a number of vendors along with a request for quotation. “We chose IFS for a number of reasons,” says Alf Lande, head of maintenance processes at Smedvig. “First of all, IFS is a leading vendor of solutions that support processes similar to our main processes, and the solution met our specifications. And IFS had a local presence, which made collaboration much easier. The reference visits we made also confirmed our belief in IFS as the right choice.” IFS’ long experience of providing maintenance solutions to the asset-intensive industry was another critical factor.

Implementation

Smedvig and IFS carefully assessed Smedvig’s needs to determine how the system would be utilized. “We appointed a strong project team to take us through the implementation,” explains Alf Lande, who also commends IFS for sending “a very competent team of consultants who did more than just implement business software. They also taught us a lot about how to systematically approach process modeling.” A group of key users—future specialists for the maintenance solution—was trained first by IFS. However, the bulk of the users were trained through interactive e-learning, a concept that Smedvig developed during the implementation process. Alf Lande again, “Interactive learning was new to Smedvig; it saved time and money, and no classroom teaching was required.” This also meant that Smedvig could focus resources on more specialized processes that required instructor-led teaching. IFS also made a test database available for Smedvig employees to practice on.

Benefits

The portal technology used to access IFS Applications is a significant benefit for Smedvig. Alf Lande explains, “The portals from IFS are tailored to the needs of the individual users, enabling rapid access to control and management information about purchasing, inventory and other key factors. Previously, we needed a specialist to get some of this data—and we got it once a month. Now it’s immediately available to all those who need it.”
The solution is also used on the drilling rigs and connected via satellite in a pure-play Internet solution, so now we have a single database for all our sites and employees. Alf Lande is enthusiastic, “Communication via satellite works well. During the time we’ve been running the system, the response time has not been an issue of complaint.”
Alf Lande concludes, “After six months and with hundreds of employees using the system, we are convinced that we made the right decision when we chose IFS as our business solutions partner.”

Software

IFS Distribution
IFS Maintenance,
IFS/Project Management
IFS/Document Management
IFS/Business Performance
IFS/Personal Portals

Hardware

Compaq

Pobranie

Smedvig — Plik PDF (353 KB)

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