From control room operators, to chief information securityofficers, to rig managers on drill sites, gas and oil industryexecutives are making decisions that will impact all areas of theindustry, taking risks in exchange for the possibility of a greaterreward. Success in the industry is dependent on compliance with newregulations, keeping up with technological advances, handlingthreats and embracing opportunities that are continually present inthe oil and gas industry.

A study Booz Allen Hamilton, a management consulting firm, haspartnered with its clients in the gas and oil industry to examinethe short and long-term trends for the industry, identifying sixkey trends that could impact the oil and gas business sector.

“It is striking to see how regulation, the cyber threatenvironment and internal challenges are converging to shape thepath forward,” said Emile Trombetti, senior vice president of BoozAllen. “It is critical that industry leaders consider howthese trends provide challenges and opportunities for theirorganizations that can ultimately help them better prioritize andmeet their strategic and business goals.”

Click through the following slides to see Booz Allen Hamilton'spredictions for trends in 2014.

1. The technology supply chain will increase the needfor cyber risk management

Oil and gas companies have already embraced networkedinfrastructures in order to efficiently operate. In improvingoperations, these companies have come to rely upon more vendormaterials, products and services than ever before.

Despite this progress, Booz Allen asserts that the industry isjust beginning to come to terms with the cyber risk managementchallenges that come with a more open network and reliance on thetechnology supply chain. For oil and gas companies to effectivelyface the issues involved with cyber risk, it is suggested thatcompany leaders assess the security of third-party vendors andprotect their assets.

2. Cyber risk management will become morecustomized

Hackers can go after oil and gas companies, and industry leadersshould be prepared.Companies should create unique approaches tominimize the impact of an attempted attack and protect criticalassets.

For oil and gas companies, in particular, focus should be towardthe development of comprehensive and custom risk management plansthat are tailored specifically to circumstances when enteringhigh-risk environments, such as ventures into new geographiclocations, markets and products. A recent ABI research studypredicted that cyber attacks against oil and gas infrastructurewill cost companies $1.87 billion by 2018. Making sure that acomprehensive plan is in place can help protect against the costlylosses associated with cyber attacks.

3. Future competitive advantages depend on technologicalinnovation

In recent years, oil and gas companies have become moreinnovative when it comes to drilling. Technological advances haveenabled companies to venture into new territory and gain acompetative advantage in the industry.

Cloud computing, mobility and knowledge management have becomepart of the industry as a means for efficiency. As companies becomemore innovative, however, special attention should be paid toprotecting the R&D that went into creating this intelectualproperty, creating another layer of security that must beimplemented.

4. Striking the right balance between strong cyber riskmanagement and regulation will become more challenging

Although regulations can help companies secure themselves fromcyber threats, they often apply a one-size-fits-all approach tosecurity. Often, this method does not take into account a company'sunique vulnerabilities that come with its specific businessprocesses. Sometimes, there is conflicting priorities between whatis defined by the regulations and what is needed for the specificcompany to ensure adequate protection against cyberintrustions.

Additionally, the shifting regulatory environment can make itdifficult for oil and gas companies to keep up. Industry leadersmust find a balance between compliance with environmentalregulations and handling geopolitical issues that can impact thebottom line.

5. An aging workforce is creating unique riskmanagement, infrastructure and HR challenges

Like many industries, the oil and gas is facing a shrinking poolof individuals who have expertise in the area. Booz Allen Hamiltonasserts that most individuals who have the institutional andtechnological “know how” about their own company's cyber risks andoperations are on the brink of retirement, but according to Ernst& Young, nearly 90% of senior human resources executives at 22top international gas and oil companies believe that there is atalent shortage in the industry, referring to the problem as one ofthe top five business issues facing the company.

This is resulting in a knowledge gap between new employees andexperienced industry leaders. According to Ernst & Young,nearly 90% of senior human resources executives at 22 topinternational gas and oil companies believe that there is a talentshortage in the industry, referring to the problem as one of thetop five business issues facing the company.

Younger employees cannot meet this gap on their own, and gas andoil leaders should work to capture, retain and integrate humancapital intelligence across the business.

6. Data will continue to createdifferentiators

Oil and gas companies work with more data concerning theirassets than ever before, but they risk falling behind in theindustry if they do not make this data work for them. Businessesmust understand that while the data can present opportunities, itcan also raise challenges.

Industry leaders should analyze and present their data thatallows the firm to create action. Using the information to drivebusiness strategies and understanding anomalies can help businessesin the oil and gas industry to have greater success.