Why Efficient Asset Management Is Crucial in Oil & Gas

In the oil and gas sector, assets are at the centre of operations. From drilling rigs and pipelines to control systems, managing them efficiently isn’t just a matter of organisation, it’s essential for safety, compliance, cost control, and ultimately, profitability. 

According to the International Association of Oil & Gas Producers, nearly 40% of offshore incidents are related to equipment failure. Many of which are preventable with better asset tracking and maintenance strategies. 

What is Asset Management? 

Asset management refers to the strategic process of acquiring, operating, maintaining, and eventually decommissioning an organisation’s physical assets. It goes beyond just keeping things running. It’s about keeping compliant, improving safety and maximising the value and lifespan of each asset, all while reducing costs. 

In oil and gas, where assets span vast geographies and operate in some of the world’s harshest environments, the asset management process plays a pivotal role. From offshore rigs to onshore facilities, from equipment procurement to supply chain coordination, every element must work in harmony. 

By implementing a structured asset management strategy, organisations can ensure regulatory compliance throughout all stages of the management process. 

Why Asset Management Software Is a Game Changer 

Not too long ago asset management was mainly paperwork and reactive scheduling. Today, powerful platforms such as Motion Kinetic are transforming how operators manage assets by integrating core features: 

• Compliance Made Simple 
  Whether you’re dealing with UK HSE, international standards, or environmental regulators, the ability to schedule, track and report on compliance activities is essential. Modern systems use smart checklists, automated reminders, and built in reporting to ensure every valve, pump, or platform part is logged and compliant with no extra admin required. 
• Remote Access & Mobility 
  Gone are the days of carrying hefty binders onto the rig. Technicians can log inspection data straight into their tablets or phones, online or offline, reducing manual re-entry and minimising reporting errors. 
• Identify Equipment in Seconds 
  Easily search for equipment to inspect using keyword search, barcodes or RFID tagging. This speeds up the inspection process and ensures the right equipment is inspected at the right time. 
• Integration with Existing Systems

Using a system which can be integrated with existing operational systems reduces duplicate data entry, eliminates silos, and streamlines your workflows, saving both time and operational costs.  

Real-World Example: How Poor Asset Awareness Led to Disaster 

Earlier this year, an oil and gas operator was fined £300,000 after three crew members descended into a water filled lift shaft on a floating platform in the North Sea causing them to become partially submerged. 

The serious incident occurred in December 2020 aboard the FPF-1 floating production facility in the North Sea. During a routine night shift, three crew members became partially submerged in seawater after descending into a water-filled lift shaft with no prior warning. The lift, which was located in one of the platform’s legs, flooded unexpectedly, and the workers were only able to stop it using an emergency button once knee-deep in water. 

A subsequent investigation by the Health and Safety Executive (HSE) revealed multiple failings, including how faulty equipment and incorrect procedures contributed to the water ingress. 

The operator, pleaded guilty to breaching The Provision and Use of Work Equipment Regulations 1998, and the Health and Safety at Work etc. Act. The company was fined £300,000.  

HSE described the incident as a “terrifying experience” for the workers and a stark reminder of the consequences of poor asset visibility and safety oversight. 

This case highlights why robust asset management, especially in high-risk environments like offshore oil and gas, is not just about efficiency, it’s a matter of safeguarding lives. 

The Bottom Line 

Asset management software isn’t just a fad or a ‘nice to have’ tool – it’s a business-critical function that protects your people, your assets, and your reputation. As the oil and gas industry faces increasing complexity, scrutiny, and cost pressure, the ability to monitor, maintain, and optimise equipment in real time becomes essential.  

With the right asset management tools in place, operators can build a culture of safety, compliance, and performance. 

At Motion Software, we’re committed to powering that transformation. Let’s talk about how Motion Kinetic can help you simplify compliance, reduce downtime, and make smarter asset decisions – today and tomorrow.