Challenges and opportunities of tomorrow Patrick HERENG Chief Information Officer - Total

1. Challenges and opportunities of tomorrowPatrick HERENG Chief Information Officer - Total Drillng WITSML Public Seminar and ExhibitionParis16th of may 2007

2. Agenda • Total at a glance • Total Information System targets • What are the challenges and opportunities of tomorrow ? • Technology challenges • Business Processes challenges • Human Ressources challenges • Conclusion

3. Agenda • Total at a glance • Total Information System targets • What are the challenges and opportunities of tomorrow ? • Technology challenges • Business Processes challenges • Human Ressources challenges • Conclusion

4. Total at a glance • Total is a multinational energy company committed to leveraging innovation and initiative to provide a sustainable response to humankind’s energy requirements. • In addition to conducting our business according to the highest standards of professional behaviour, we maintain an ongoing commitment to transparency, dialogue and respect for others. • We are strategically dedicated to meeting the challenges faced by all our businesses when developing natural resources, protecting the environment, integrating our operations into host country cultures, and dialoguing with civil society.

5. Total at a glance A global oil and gas company Fourth-ranked international oil major* A leader in each of its businesses • Upstream • Oil and gas exploration & production, one of the top five international oil companies • Production: 2.5 million barrels of oil equivalent (boe) per day   • Proved reserves: 11.1 billion boe • Gas & Power, coal and other energies: • An industry pioneer • Interests in five of the world’s largest liquefaction plants, accounting for around 40% of global LNG production capacity * By market capitalization at December 31, 2006

6. Total at a glance • Downstream • Trading & Shipping: a leading global operator • Refining & Marketing: No. 1 in Western Europe and Africa Interests in 27 refineries Refining capacity: 2.7 million barrels per day Throughput: 2.4 million barrels per day Volumes sold: 3.9 million barrels per day Network: nearly 17,000 service stations* • Chemicals: A world-class integrated producer

7. Agenda • Total at a glance • Total Information System targets • What are the challenges and opportunities of tomorrow ? • Technology challenges • Business Processes challenges • Human Ressources challenges • Conclusion

8. Total Information System targets • Contribute to Business Strategy and Growth • Satisfy increasing needs of reactivity and agility • Satisfy increasing needs of mobility and nomadism • Support Business Units development in new areas : field monitoring, CRM, e-Marketing, M-Payment, …) • Foresee the new risks and secure company information assets from internal & external threats • Survey proactively the threats evolution ( virus, hackers, intelligence economy ) • Address the challenge of being more open and more secure • Bring scalability, easiness, & fluidity in all the exchange and communication with third-parties ( Providers, suppliers, clients, partners) • Pursue global IT cost reduction while increasing performance • Make use of technological mutation as well as new usage of existing technologies : Web 2.0, Convergence (IT/Telco/Media), Web Services, SOA, • Take benefit of business models changes within the industry : Licensing vs Web Services, Oil&Gas standardisation effort • Take benefit of IT Market changes with emerging countries like India and China

9. Agenda • Total at a glance • Total Information System targets • What are the challenges and opportunities of tomorrow ? • Technology challenges • Business Processes challenges • Human Ressources challenges • Q&A

10. What are the challenges and opportunities of tomorrow ? Human Ressources Business Technologies Processes

11. Ubiquitous computing Networked computing – enterprise applications and the Internet Personal computing Mainframe computing We will soon enter a new era of Information & Telecommunication Services 2000-2008 1959-1970 1970-1976 1976-1985 1985-1992 1992-2000 2008-2016 Innovation and growth Innovation and growth Refinement and digestion Innovation and growth Refinement and digestion Refinement and digestion Innovation and growth Internet 1ère génération Internet 2ème génération Software Computer equipment IT investment to GDP ratio Communication equipment 0.6% 6.6% -2.9% 5.4% 11.1% 8.4% 1% Annual change in IT investment to GDP ratio (CAGR) An increase of Information & Communication Technologies investment is expected for the period 2008-2010 Sources: US Department of Commerce; Forrester Research

12. Moore’s law is still true with multi-core architectures The resulting computing power opens opportunities in the field of modelisation and simulation Anticipate Information &Communication Technologies opportunities: get the benefit from it (1/3) Main trends : Key Concepts More power in less space 1 Ubiquitous network ADSL, Broadband networks, GPRS, 3G, WIFI and soon 4G, WIMAX,… allowed huge development of telecom market and brings network virtually anywhere Multimedia unforeseen new applications developped very fast on that ground. 2 -

13. Anticipate Information &Communication Technologies opportunities: get the benefit from it (2/3) Main trends : Key Concepts Ubiquitous computing Desktop computer, Personal Computer, « Internet Café », PDA, Smartphone, interactive self-service kiosk build upon Ubiquitous network Information and services, either private or professional, become available anytime / anywhere 3 Communicating objects More and more objects are directly linked to the ubiquitous network and « brought to life » !   4

14. Web 2.0 brings collaboration to the web at a completely unexpected pace. Anticipate Information &Communication Technologies opportunities: get the benefit from it (3/3) Main trends : Key Concepts Web 2.0 unexpected growth 5 Extended digital enterprise Business is more and more real-time. B2B and B2C have set the ground for a more complete digital business world. 6 Increased IS/IT security needs Pro-active hackers bring new threats on the digital business ICT security models have to be permanently redefined. 7

15. What are the challenges and opportunities of tomorrow ? Human Ressources Business Technologies Processes

16. E&P Business Process Management challenges & opportunities • Today Business challenges are: • High resolution seismic • Full integration of : • Seismic, • Reservoir, • Well process, • Field monitoring • … • Full physics simulation • Predictive analytics • Growing Real-Time data volume • … • They call for : • Workflow management • Semantic equivalence of objects • Data Standards • Data qualification • Data availability • Global agreement between IOCs, NOCs, Vendors, Regulation Bodies, Government • …

17. Real time data flow Non real time data flow Data Standards : Key factor to the Business strategy succes Business Process Management challenges & opportunities From the « spaghetti » approach to the managed workflow of standardized data

18. What are the challenges and opportunities of tomorrow ? Human Ressources Business Technologies Processes

19. Human ressources challenges & opportunities • Expected Business Process changes requires: • Integration of Business skills and Information System skills • Preparation of Baby Boomers’s retirement : • Knowledge Management process to keep as much as possible non structured information asset • Early plan of recruitment to cope with retirement rate increasing in years to come • Changes in recruitment source and profile : engineers with more general skills able to take first position in IT teams and developp career path in Business Units

20. Agenda • Total at a glance • Total Information System targets • What are the challenges and opportunities of tomorrow ? • Technology challenge • Business Processes • Human Ressources • Conclusion

21. Conclusion Business productivity improvement rely on: Human resources skills development Technology evolution Business Process Management Success requires a collaborative effort for Data Standards development