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Schlumberger

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About Schlumberger:

Founded in 1927, Schlumberger is a global oilfield and information services company with major activity in the energy industry. The company employs 78,000 people of more than 140 nationalities working in 100 countries, and consists of three primary business segments:

  • Schlumberger Oilfield Services is the world's premier oilfield services company supplying technology services and solutions to the international oil and gas industry;
  • WesternGeco, jointly owned with Baker Hughes, is the world's largest and most advanced surface seismic company; and
  • SchlumbergerSema is a leading supplier of IT consulting, systems integration, and network and infrastructure services to the energy industry, as well as to the public sector, telecommunications and finance markets.

In 2002, Schlumberger revenue was $13.2 billion. For more information, visit www.slb.com.

Key Challenges:

  • Schlumberger sought to streamline its operations while expanding its core services.
  • SchlumbergerSema, a business segment of Schlumberger Limited formed when Sema was acquired in 2001, was beginning to make inroads into the U.S. telecommunications market, but had yet to gain the desired momentum it enjoyed in the global market.

Executive Summary

Schlumberger provides real-time information services to organizations involved in the global energy business, from upstream oil and gas exploration and production companies to downstream gas and power marketers, utilities and consumers. Data collected and transmitted directly to decision makers enables energy and related supplier companies to make better-informed assessments and decisions regarding their oil, gas and power reserves.

By working with Sprint, Schlumberger gained a committed business partner for optimizing communications within the United States. Sprint provided Schlumberger with a full suite of solutions - wireline, wireless, voice and data - to maintain its real-time service advantage while lowering operating costs and creating new efficiencies.

Because of its strength in production-management services - which lies at the heart of oil-reserve-yield maximization - Schlumberger has continued to successfully help its customers navigate the volatile energy market.

The Right Mix

When Sprint Client Executive Mike Doherty met with Schlumberger executives he had no preconceptions about the company's communications needs. He listened and learned as Schlumberger executives described their business objectives and challenges. Schlumberger needed a partner that not only understood their vision, but could also offer the solutions to meet their business challenges, and provide the support of a solid account team.

Not only did Sprint deliver a complete set of solutions, but it also had one integrated account team - Julieanne Ash (Sprint Business Senior Account Executive), Shelly Michetti (Sprint PCS Account Manager) and Doherty - to support all the offerings. While Doherty focused on Schlumberger's overall business objectives, Ash and Michetti focused on ensuring the customer's day-to-day needs were met, which was extremely important to Schlumberger. John Kennedy, Global Account Director for SchlumbergerSema, appreciates that the account team offers strategic solutions that are "outside of the box" and made to fit the customer.

With insight into Schlumberger's business and its specific challenges, the Sprint account team was able to provide Schlumberger with the right mix of Sprint solutions.

Sprint was the only carrier with the assets to meet Schlumberger's needs with a complete portfolio of communications solutions, including wireline, wireless, voice and data services across the nation and globally.

More than Just a Product

In 2001, with the acquisition of IT and technical services company Sema (now SchlumbergerSema), Schlumberger acquired further expertise in consulting and systems integration. But acquiring Sema meant merging disparate networks. Schlumberger did not want multiple vendors for multiple networks, instead preferring a single partner for all its communication needs and related business challenges. Sprint was awarded the business to provision the United States portion of Schlumberger's internal network on the Sprint Global Frame RelaySM and IP network.

"Sprint shared their value proposition, and it came closest to addressing our needs," says Kennedy. "Sprint offered industry-leading service level agreements (SLAs) and remained competitive on pricing." But it was Sprint's ability to offer more than just a product that made the most difference. The account team proved that Sprint had the long-term financial stability, the right account team support, and the specific solutions needed to address Schlumberger's telecommunications requirements.

Reducing Operational Costs

"Like most global enterprises, we have a huge telecom expenditure," says Kennedy. "The Sprint account team helped us understand the impact of how and where we were spending our money and helped us reduce our operational costs for telecommunications."

Schlumberger was able to forego its reliance on analog modems and toll-free lines for data communications by providing its mobile workers and executives with Sprint PCS Connection Cards™ for their laptops. In the past, mobile workers needed to find phone jacks to dial into their servers over toll-free lines to access applications such as company email. With Sprint PCS VisionSM wireless data service from Sprint, Schlumberger is now able to eliminate some $30,000 in monthly expenditures on toll lines alone.

But cost saving was only half of the equation, according to Sprint's Michetti. While a phone jack can sometimes be difficult to find, Sprint PCS Vision gives mobile workers near-instant wireless access anywhere on the enhanced Nationwide Sprint PCS Network. "Schlumberger executives understood the benefit of moving to wireless data using Sprint PCS Connection Cards and Sprint PCS Vision immediately," says Doherty. Providing wireless access to Schlumberger employees, especially to executives and "road warriors," enables maximum productivity from a staff that travels the globe and works remotely across different time zones. Adopting this data technology was a strategic decision.

Looking Forward

While the relationship between Sprint and Schlumberger may still be in its infancy, the partnership is strong. The two companies communicate often and stay in touch with their respective organizations' needs. One of the major goals the two companies share is a vision of integration. Sprint and Schlumberger both have a long history of innovation in network technologies. Schlumberger's internal network is among the largest in the world. Sprint delivers truly integrated solutions through its portfolio of assets.

Kennedy is enthusiastic about the Sprint vision because he knows Sprint shares Schlumberger's systems integration strategies. "What distinguished Sprint was its ability to integrate wireline and wireless," Kennedy says. "They were the only provider in North America that could provide a solution in a single, integrated offering."

Maintaining business momentum and controlling expenses remain critical initiatives for Schlumberger. The Sprint integrated account team continues to work closely with Schlumberger to help them meet these objectives.

"By being aware of the market environment of Schlumberger's customers, we were able to help Schlumberger deliver greater value and offset risk to these companies," says Doherty.

Kennedy agrees. "Sprint represents a tradition of innovative excellence," he says. "When Schlumberger has telecommunication service needs, we'll look to our partner Sprint to help us fulfill them."

"A vendor is reactive. A partner is proactive. Sprint is definitely a partner. They understand our business and have helped our organization realize greater efficiencies from a telecommunications standpoint."
John Kennedy, Global Account Director, SchlumbergerSema

"Sprint was the only provider in North America that could provide a solution in a single, integrated offering."
John Kennedy, Global Account Director, SchlumbergerSema

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