Sustainable Supply Chains in O&G with AI - with Salamatu Mahamudu of Baker Hughes
Jan 9, 2025
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Salamatu Mahamadu, a Global Procurement and Sourcing Leader at Baker Hughes, delves into the transformative role of AI in oil and gas supply chains. She discusses how AI enhances demand forecasting and inventory optimization while addressing sustainability goals amidst green energy transitions. The conversation also covers challenges in innovation, compliance, and cybersecurity, all crucial for achieving carbon reduction targets. Salamatu emphasizes the importance of aligning supply chains with customer needs and global sustainability initiatives.
The oil and gas industry's transition to sustainable practices is heavily reliant on optimizing supply chains to meet carbon reduction targets.
AI-driven technologies enhance supply chain efficiency by improving demand forecasting and inventory management, aligning operations with sustainability goals.
Deep dives
The Role of Supply Chains in Energy Transition
The supply chain plays a crucial role in the oil and gas industry's transition to greener energy solutions. Companies are focusing on how to support customers and governments in adopting sustainable practices while achieving carbon reduction targets. By prioritizing technological improvements and modernizing production systems, businesses can help reduce their carbon footprints both directly and indirectly. Initiatives such as carbon capture and storage are also being implemented to aid this transition and enhance the overall environmental impact of oil and gas operations.
Challenges of Supply Chain Visibility and Regulation
Supply chain visibility and consistency are significant challenges for oil and gas companies operating in diverse global markets. The volatility in different countries' regulatory environments can complicate planning and delivery, making it essential to maintain data accuracy to mitigate risks. Environmental and regulatory standards in the industry are stringent, necessitating that companies prioritize safety and sustainability in their operations. Additionally, cybersecurity risks pose threats due to the sensitive data handled in procurement processes, emphasizing the need for robust security measures.
Leveraging AI for Enhanced Supply Chain Efficiency
Artificial intelligence presents transformative opportunities for enhancing supply chain operations in the oil and gas sector. AI can significantly improve demand forecasting and inventory optimization, enabling companies to respond proactively to market changes and customer needs. Advanced analytics can help maximize asset utilization by determining the optimal timing and location for deploying resources. As businesses embrace AI across their operations, they can expect improved efficiencies and better alignment with sustainability goals, making AI a game changer for the industry.
Today’s guest is Salamatu Mahamadu, Global Procurement and Sourcing Leader for Wells Completion & Interventions at Baker Hughes. Salamatu joins the podcast to discuss the evolving supply chain landscape in the oil and gas industry. With a focus on green energy transitions, Salamatu highlights the critical role of supply chains in meeting ambitious carbon reduction targets and addressing challenges like supplier innovation, regulatory compliance, and cybersecurity. The conversation also explores how AI-driven systems can transform supply chains by improving demand forecasting, optimizing inventory, and automating data collection processes. Salamatu emphasizes the need for supply chains to prioritize customer and market needs while aligning with global sustainability goals. This episode is sponsored by Arkestro. Learn how brands work with Emerj and other Emerj Media options at emerj.com/ad1.
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