A model for information technology optimisation in supply chain and logistics of Libya oil and gas sector: the case of Zueitina oil company

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Tarom, Fathi A.
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Vaal University of Technology
Crude oil is among the most in-demand and desirable commodities across the world today. The multiple uses of crude oil are widespread, ranging from the generation of energy to its use as fuel for the petrochemical and transportation sectors. Because of the high use of and demand for crude oil worldwide, the petroleum industry (also known as the oil and gas industry) is a significantly role player in the world economy. Libya‘s oil and gas industry is deemed the most essential and important sector in this country, as Libya is mainly dependent on proceeds from this sector. However, existing information technologies are not always optimally applied and utilised. This, together with the challenge that information technologies in the supply chain system and logistics processes of some of Libya‘s oil and gas companies are not always sufficient, the productivity of the country‘s oil and gas supply chain is compromised, and this results in revenue losses because of wasteful expenditure. This research therefore aimed to determine what innovative information technologies should be considered by Zueitina Oil Company (as case study) in Libya to enhance its supply chain and logistics processes. Two primary research questions (PRQs) were formulated for this research, namely: (i) What is the current status of Libya‘s oil and gas sector in terms of oil production and export? (ii) What innovative information technologies need to be considered by Zueitina Oil Company in Libya to contribute towards optimising its supply chain and logistics processes? This study followed the qualitative research methodology, as the data collected were qualitative and the research design was inductive. A case study strategy was adopted, with Zueitina Oil Company in Libya as the case under study. The primary sources for the research were the management of the supply chain and logistics departments of Zueitina Oil Company. The qualitative data collection method selected was a survey conducted by means of telephone and focus group interviews. The data were analysed using thematic analysis. In total, five themes and six sub-themes emerged from the findings obtained from the analysis. This research contributes to the scientific body of knowledge by proposing an Information Technology Optimisation Model for the Supply Chain of Zueitina Oil Company in Libya in order to achieve increased revenues, reduced costs, and improved customer services, among others.
M. Tech. (Department of Information and Communication Technology, Faculty of Applied and Computer Sciences), Vaal University of Technology.
Zueitina Oil Company, Supply chain, Logistics, Information Technology, Optimisation, Libya oil and gas