Lotos and Microsoft: Fuel and engine for digital growth

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Grupa LOTOS and Microsoft have signed an agreement paving the way for the development of joint projects and solutions based on artificial intelligence and state-of-the-art information technology. Their collaborative partnership will commence with the establishment of the Competence Centre for Artificial Intelligence, Digital Innovation and Advanced Data Analytics. The expected synergy gains from up-to-date technology solutions are estimated to exceed EUR 10m.

‘For Grupa LOTOS, Industry 4.0 is not another industrial revolution but a fuel for a well-planned digital evolution. The achievements of Industrial Internet of Things (IIOT) include technologies and solutions that have been used by refiners for more than a decade,’ says Jarosław Kawula, Vice President of the Management Board of Grupa LOTOS S.A. ‘In the near future, we will be particularly interested in projects related to advanced data analytics, including big data mining based on cloud computing. We are also keeping a close eye on other areas of digitalisation related to robotisation, deeper automation and autonomation, digitalisation of manufacturing processes, integration of infrastructure and data in production management, artificial intelligence, virtual and augmented reality,’ added Mr Kawula.

Readiness to develop and embrace innovation, including digital innovation, is one of the five pillars of Grupa LOTOS business strategy until 2022. For over a decade, Grupa LOTOS has been ranked among Europe’s most advanced and innovative refiners, which is why it attaches great importance to implementing new solutions and services that could help it consolidate its competitive position in the near future and deliver quality products and services to customers.

‘The Competence Centre for Artificial Intelligence, Digital Innovation and Advanced Data Analytics will offer Grupa LOTOS a real opportunity to deliver significant cost savings with the human resources and tools it already has. The employees dedicated to this pilot programme will first attend a series of training courses and workshops to be able to relatively quickly and fully harness the potential of artificial intelligence to optimise production processes, particularly to further increase the profitability of crude oil refining in selected process units, improve the efficiency of the entire supply chain and advance service personalisation for customers. The identified gains from synergies offered by state-of-the-art technology solutions and expertise of Grupa LOTOS S.A. employees are expected to exceed EUR 10m and will save approximately 20,000 man-hours,’ says Marcin Hynek, Project Manager at Grupa LOTOS S.A.’s AI Competence Centre.

The overriding objective of pursuing joint initiatives and projects is to digitally transform Grupa LOTOS S.A. and to better prepare it for the fast-changing business environment. The purpose of the agreement is to develop solutions and improvements based on the recent technology advances in Industrial Internet of Things, Big Data, advanced analytics, machine learning and artificial intelligence (AI) that could be used in scenarios and projects meeting the specific requirements of the downstream petroleum industry.

‘Supporting companies on their way towards digital transition in highly specialised sectors like the downstream oil industry requires more than just knowledge. The key to success are collaborative partnerships and resulting action plans,’ adds Magda Taczanowska, member of the Management Board of Microsoft Poland, responsible for the Enterprise segment. ‘With its approach to adopting the latest trends and technologies Grupa LOTOS is blazing a trail for the entire industry, not only in Poland, but also in the region. I am positive that this mindset will accelerate Grupa LOTOS’s digital transformation in the target business areas, while the implemented improvements and solutions will help the organisation to build a new digital culture,’ saidMs Taczanowska.

Lotos