Drilling for natural resources is a practice that dates back to the mid-1800s. The reconciliation process for run tickets has been around for almost as long but, unlike drilling, has received very little attention when it comes to improvement. Many companies are still hand-ticketing, forcing accountants to spend hours going through individual tickets manually to reconcile them. It’s a process due for modernization.
Gaps in the hand-ticketing process
Suppliers issue run tickets during the transaction process, when removing oil from a stock tank. Right from the start, problems begin to arise in manual ticketing operations.
For starters, data completeness is a concern. Most tickets include pertinent information about the transaction, including the date and time, opening and closing volumes, gravity, temperature, and more. Manually recording these figures can lead to incompleteness or confusion as to the numbers listed. Overlooked differences between tickets also lead to gaps in accounting.
Even when suppliers fill out run tickets completely and accurately, the onus is still on the driver to keep track of each ticket. Misplaced, mis-logged, or mismanaged tickets are all issues to contend with; you can’t always account for human error.
Automating the process
As with many longstanding processes in need of modernization, technology holds the answer to alleviating run ticketing issues. Investing in a modern production application with an automated run ticket solution has the power to close gaps and minimize mistakes.
The first step to automating this process is minimizing the need for manual entry in the field. Sensors can be deployed within the tanks to note the total draw of oil from transporters. The transporter can then use a custom app to easily sync the run tickets with the upstream company. These two small enhancements help to prepare production departments to optimize their application to reconcile the data.
Once the data from the field is automated, implementing a hydrocarbon accounting solution such as Merrick ProCount or Tieto Components for run ticket reconciliation eliminates human error and misinterpretation of filled out tickets by digitizing the process. More importantly, software creates a point-of-transaction record that can’t be easily altered or spoofed once issued. The rule-based management of hydrocarbon accounting software can immediately identify discrepancies and errors, reducing accounting issues and validating run tickets quickly and easily.
All these benefits add up to saved time and saved costs. In addition, automation eliminates costly mistakes in the run ticket reconciliation process that inevitably affect accounting — which affects the bottom line. But even digital run ticket reconciliation is subject to error if not properly integrated into your accounting platform.
Maximizing value in the run ticketing process
Digital run ticket reconciliation through an inclusive hydrocarbon accounting platform isn’t a panacea. It requires proper support by the right infrastructure to be effective. Here, Value Global offers the ability to maximize your investment in run ticket modernization.
We assist in setting up and optimizing your run ticketing software within oil and gas accounting platforms from industry leaders such as P2, Tieto, and others. We’ll help you set everything up, configure it around your operations, and help fill gaps throughout your current run ticket reconciliation process. The results will modernize and streamline a part of your operation that’s prone to mistakes, headaches, and costly errors.
Problems managing your run tickets? Optimizing your digital reconciliation process could go a long way toward alleviating some of the headaches mismanaged run tickets create. Visit Value Global online today to get started.