While innovation thrives and regulatory obstacles persist, energy companies must remain diligent in setting and meeting their business and enterprise priorities so they stay competitive. For example, although “the average number of new oil and gas developments given the go-ahead globally has fallen from 35 a year between 2010 and 2014 to just 12 since 2015,” according to Patrick Pouyanné, CEO of Total, investment in new oil and gas projects that extend the life of existing fields is imperative if companies want to meet future energy demands.
Reducing capital spending will remain a critical factor in improving energy companies’ financial landscape. Minimizing operating expenses through better cost management activities and process reengineering will also be of particular focus. Initiatives to improve employee safety and protect our environment will carry on, as they have been for quite some time.
Transformation initiatives enable companies to become more efficient and profitable, and to create improved shareholder value. Streamlined operations foster an environment in which employees can focus on building stronger relationships with communities, governments, regulators, and customers, placing effort where it’s needed most. It’s a strategy that will help reduce financial, regulatory, and environmental risk. It’s a strategy that benefits everyone equally. It’s a strategy for success and the long term.
In his speech at the Unleashing American Energy Event, Trump said we’re in “the golden era of American energy.” Whether this is a fair assessment of the state of the industry is debatable, depending on whom you ask. However, it’s clear that most executives of energy companies (of all types) are, in fact, more hopeful than ever about the outlook for the industry.
Using the insights we’ve gleaned from conversations with clients and perspectives from industry executives, we have prepared a guide that describes the current state of the energy industry. Use it as a barometer to measure the impact of your own activities and initiatives. How do you compare to your peers? Are you doing the right things? Should you adjust your strategy to remain or become an industry leader?
You can download the guide here or fill out the form below.