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THE IMPACT OF DIGITAL TRANSFORMATION ON OIL GAS SECTOR: THE CASE OF AZERBAIJAN

Currently, the digitalization of an oil and gas company should be understood as applying new high technologies within the framework of existing business processes without changing their principles and structure. According to the author, the concept of "digital transformation" is somewhat different from digitalization. Digital transformation in an oil and gas company is a constant process of improving and transforming an oil and gas company's business model based on digital asset management. Digital assets in an oil and gas company, according to the author, are digital twins of physical assets (factories, wells, fields), which are cyber-physical systems for the most efficient management of the existing infrastructure. In digital transformation, many oil and gas executives see the potential for long-term success. Nowadays, cost competitiveness is becoming more and more critical. Key words: digital transformation, oil and gas sector, Azerbaijan, technology