Artificial intelligence in Oil & Gas: automating administrative management to improve traceability and efficiency
In highly regulated industries with complex supply chains, such as Oil & Gas, artificial intelligence in Oil & Gas is already being used to automate administrative processes that grow in volume and complexity faster than the teams managing them. Managing invoices, purchase orders (POs), and budgets is a clear example: mission-critical work that is often manual, repetitive, and error-prone.
This was the starting point for a project at an Oil & Gas company that manages purchasing and contracting with thousands of active suppliers. The process relied on emails, cross-checks, and manual data entry into internal systems, consuming significant operational hours and causing frequent delays.
The challenge: invoices with no traceability
The workflow began when invoices arrived by email. In many cases, suppliers did not include the purchase order number (PO), a key data point needed to match the invoice to the correct budget line. This forced the administrative team to review each document, find the right PO, or request a corrected invoice, creating rework and delays.
On top of that, several required checks were also performed manually:
• Amount validation against the PO
• Confirmation that goods were received
• Approval by the requesting area for services
The outcome was predictable: data entry errors, delayed payments, and friction with suppliers.
Artificial intelligence in Oil & Gas: automating the invoice and PO workflow
The solution introduced an AI agent as the first layer of administrative processing. All invoices are sent to a dedicated inbox, where the agent automatically reads them and extracts the relevant information.
The first control happens immediately: the system detects whether the invoice includes the PO number. If it cannot find it, the agent automatically replies to the supplier requesting a reissued invoice with the correct PO number, without human intervention.
When the invoice contains the PO number, the agent connects to the purchasing system, matches the invoice to the corresponding PO, and links it to the assigned budget line. If the amount matches what was agreed in the PO, the invoice is routed to the responsible owner for approval with full context.
Automated validations based on purchase type
The system distinguishes between physical goods and services:
Physical goods: billed quantities are automatically checked against delivery receipts. Receipts are photographed upon delivery and read by AI to validate consistency against what remains open on the linked PO.
Services: the invoice is routed to the requester for approval or rejection, with complete contextual information.
Once approved, the invoice is automatically posted to the ERP, eliminating manual entry.
Results: efficiency, control, and transparency
The automation reduced time spent on repetitive administrative tasks by up to 80%. The team stopped spending hours on manual checks and email back-and-forth, and shifted focus to budget control and exception handling.
Traceability also improved significantly: each invoice is linked from the start to a PO, a budget line, and an approval owner, reducing errors, delays, and supplier disputes.
From manual operations to intelligent management
This case shows how artificial intelligence in Oil & Gas can be applied in a practical way to critical administrative processes. By automating controls and orchestrating approval flows, AI does not replace human oversight, it strengthens it, freeing up time and reducing operational risk in environments where traceability is essential.
At TAM, we work with finance, procurement, and operations teams to automate high-volume administrative processes using AI agents, reducing errors and accelerating approval and payment cycles.
If you are considering a similar initiative, let’s schedule a call to review your current process, integrations, and quick wins.
