Creating a structured roadmap for digitalisation to transform who carries out work and how holds the potential to unlock new operational gains, effectively manage a distributed workforce and virtualise the entire business model through technology-enabled, human-driven decision making, according to a new Deloitte study.

The Future of Work in Oil, Gas and Chemicals: Opportunity in the time of change explores the opportunities today's changed environment presents organisations to transform themselves and bolster their earlier appeal with current and prospective employees.

The industry's reputation as a reliable employer has been challenged following big layoffs - 107,000 lost their jobs between March and August - and heightened cyclicality in employment triggered by recent subsequent downturns and the COVID-19 pandemic. The study highlights that 70 percent of jobs lost during the pandemic may not return by the end of 2021, assuming oil stays around $45 per barrel oil.

Four levers of transformation

The report highlights four levers of transformation - energy transition, integrated human-machine collaboration, recoded careers, and organizational agility - which could push OG&C organizations into the future.

• With only 1-2 percent of oil and gas capex spent on new green energy projects, there is nearly "unlimited scope" for companies to transform their traditional hydrocarbon model.
• The power of digital transformation lies in a structured road map that extends structural changes from an individual asset level to the entire organization and creates a platform for innovation and collaboration. The human-machine collaboration model is one such road map.
• Renewing the focus on the workforce lies at the very center of the talent puzzle, and the time has perhaps come to revisit the traditional talent life cycle.
• With dwindling gains from the usual performance levers in the near term, it is time for organizations to now challenge their traditional way of functioning, including how they have set up their core and support functions, and how they manage resources and work with partners. Put simply, organisational agility is the way forward with fndamental changes needed across each element of the income statement and balance sheet.

Duane Dickson, Vice chairman and U.S. oil, gas and chemicals leader, Deloitte LLP, said: "Companies that choose to see the coming decade as an opportunity for transformation will likely not just outlive this compression but may even lead the industry into the future of work. By putting people at the core of business transformation strategies, the industry may hopefully regain its appeal and position itself for what's expected to be a much different landscape in the future."