2023 Industry Trends
With 2022 behind us, the early months of 2023 are seeing a continuation of increasing energy prices and persistent inflation. The energy transition has been placed in “high gear” by public sector funding and supply chain pressures have continued. CIOs are under pressure to adapt and change as never before.
For Utility companies, it is all about the squeeze on O&M combined with the need to support, with technology, the immense pressure to assure grid stability during this time of change.
For Oil & Gas (O&G) companies, record profits were recorded in 2022, providing substantial earnings and board approval to fund their strategies in 2023. And while O&G companies recognize world issues in the geopolitical and macroeconomic environments, focus and importance continues to be on transitioning to cleaner energy in the long term. We expect continued acceleration of digital transformation and re-visiting business models that drive growth and focus on renewables. Cybersecurity, engineering technology, cloud adoption and data analytics will be the main IT drivers in 2023 and extend into 2024.
ESG is an important topic for Oil and Gas companies as it is with all participants in the Energy space. ISG is seeing a shift from shareholder to stakeholder focus with higher expectations for transparency and accountability from more stakeholder groups.
Chemicals, Metals & Mining industry have experienced headwinds due to higher energy costs around the world along with their customers destocking inventories due to economic concerns. Despite the economic concerns, we are seeing continued investments in digital transformations, data analytics and enhanced hyperscaler/cloud computing initiatives. Operational efficiency will be among the focus areas which will influence the need for OT solutions.
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