How Oil Companies Use Real-Time Business Intelligence To Maximize Profits
Successful companies push innovation through artificial intelligence, algorithms, and efficient data automation. Real-time business intelligence (BI) is key to maintaining an advantage in your company’s ever-changing market.
For example, Amazon uses real-time business intelligence to manage its complex supply chain. However, oil refineries and downstream companies have different variables to consider. How could oil companies use BI to maximize their profits?
With DTN FastRacks®, understanding and using your pricing data is easier than ever. With this incredible tool, you can trust that you’ll never be in the dark again about what the market is doing. Instead, you can have the rack price information that you need right at your fingertips. Not only that, but you will have actionable insights that transforms your data into decisions.
What is business intelligence, and what is its purpose?
Business intelligence is a way to use technology to organize and analyze data related to your business. Tapping into that business intelligence means receiving data about your operations as they are taking place. It is a means for your team to analyze data with zero delays.
BI takes data from multiple trustworthy and reliable sources, then stores it in one central location. It then organizes the data and makes it available to decision-makers in real-time. Easy-to-use formats like dashboards and reports streamline team communications.
Since BI tools mine and analyze vast amounts of data, unexpected situations can be responded to as they occur with minimal delay. Business decisions can be made, and business goals can be set based on high-quality output from a BI system.
Business intelligence aims to turn raw data into solid business decisions and real-world prosperity.
Business intelligence from DTN will allow you access to quality data and actionable insights. You will quickly see improvements in operational efficiency and, in turn, greater profits.
Gaining a profit advantage
Gaining a profit advantage depends on effectively acquiring and using data through properly integrated business intelligence systems.
Proper use of that current and historical data will help your company isolate each step in the business process. Real-time business intelligence systems allow for faster data analysis, crucially giving you the opportunity to react almost immediately to market fluctuations and other events.
A fully integrated BI system will allow you to make each step in your process more efficient. Greater efficiency leads to increased prosperity and success for you and your clients.
Business intelligence also allows you to reduce your costs. New revenue streams can be generated based on the profitable analysis of quality data. This access to real-time business intelligence lets you make more confident, data-driven decisions because you don’t have to take chances on old data.
A tailored approach to your company will make processes more efficient and maximize profits at each step. Based on a comparison of historical data and current conditions, you can also more effectively predict market fluctuations and identify future opportunities.
The benefits of business intelligence
Real-time business intelligence means you can:
- Keep your data organized and accessible for easy analysis
- Access key data across multiple company departments
- Reference the data you need quickly and make decisions without delay
- Have current information constantly available
- Identify market trends
- Compile reports faster and with greater accuracy
- Identify areas of inefficiency in your business processes
- Drive sales
- Track performance
A typical case study for a downstream oil company would show where business intelligence systems have helped a company consistently buy oil at the lowest possible prices. The oil company would receive real-time business intelligence updates on their own sales hour by hour. The data gathered, processed, and analyzed by their business intelligence systems would also allow them to predict the volume of future sales with more accuracy.
One of the most significant advantages of using business intelligence is reduced risk. Decision-makers are empowered to make thoughtful investment choices based on real-time information. Much of the guesswork is taken out of the equation.
Additionally, a well-integrated BI system enables a downstream oil company to predict equipment problems. Your team can then carry out preventive maintenance and repairs. This is yet another substantial money-saving benefit.
Predicting fuel demand
Accurately forecasting fuel demand is a high-level benefit of real-time business intelligence for the oil industry. Oil companies can use vast amounts of historical data to prepare for actual customer demand rather than guess what the need will be.
Oil companies need to be able to make accurate predictions in this area. Having ready access to quality data and combining it with the power of data analytics will allow you to maximize your profits.
Your operations managers can receive real-time information on market levels through integrated business intelligence systems, allowing for continual adjustments to the scheduled supply.
Business intelligence tools make fuel demand forecasting possible because they draw on large quantities of available data. Actionable insights are based on historical patterns of consumption data combined with current data on factors affecting demand, such as price fluctuations or geopolitical events.
A better way
Oil company professionals have always relied on market news and analysis to facilitate successful decisions. Whereas in the past, limited sources of information made for slow progress, your company can now work at lightning speed with the help of a suite of tools tailored to meet your company’s needs. These business intelligence tools will make you a leader in the refined fuel market.
Use BI to check information on daily rack prices from multiple terminals. Your custom dashboard will enable you to see the difference between costs immediately. That real-time advantage will lead to significant savings.
When you buy significant amounts of fuel daily, you can also use business intelligence tools to check temperature values to ensure correct pricing.
With all the benefits mentioned in this article and many more, exploiting the potential of business intelligence by using the right tools gives you high-level benefits.
DTN FastRacks® lets you keep a close eye on rack pricing in real-time and work with market fluctuations to remain competitive in the eyes of your customers. The superior market intelligence and actionable insights provided by DTN FastRacks give you the competitive edge you need.