SAP and Landmark Graphics to team on ERA (May 1999)

Accounting software giant SAP and Landmark are teaming in a bold move to link Enterprise Resource Allocation (financial) and geotechnical IT.

No, it’s not another inter-operability initiative! Landmark is to plug its Oilfield Workstation TOW/cs production allocation system intto SAP’s Enterprise Accounting System R/3. The link will be hardwired through the proprietary BAPI programming interface. This linkage of Landmark software to SAP's Oil & Gas Industry Solution will be available in early 2000.


Dieter Rafalsky, Head of SAP Oil and Gas Industry Unit said, "TOW/cs will offer our customers a robust field data capture and daily allocation engine that will be seamlessly integrated with our monthly production allocation and revenue accounting functionality." Landmark's Bob Peebler added "This agreement is the first in a series of strategic alliances between Landmark and SAP that will leverage the powerful functionality of the SAP R/3 System with Landmark’s suite of geoscience, drilling and engineering solutions."


The extension of SAP into the upstream will be begin with Operations. The SAP R/3 Maintenance module will be used to manage downhole and surface equipment. The next objective, Accounting will include monthly allocation and valuation of volumes according to owners and contracts and the preparation of regulatory and tax reports. Produced volumes will be integrated with joint venture accounting and production sharing contract modules.


TOW/cs, from Landmark Graphics, provides enterprise-wide collection, storage and analysis of daily operational data from sources such as handheld devices, SCADA systems, meter readings and tank strappings. The field production data captured in TOW/cs will be integrated with both Landmark's DSS32 production surveillance system and the SAP R/3 accounting package.

PDM comment - The interplay between this hardwiring of Landmark's products to SAP's R/3 contrasts with the recent announcement of ‘Open’ cooperation through COM for Energy (see PDM Vol 4 N 2). Landmark, has previously complained at the slowness of collaborative work and expressed a desire to go things alone. Landmark is clearly playing hardball here and may well have stolen a march on the competition!

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