Retooling for the New Normal Oil & Gas Industry Environment
The "new normal" future oil industry environment will be characterized by lower prices, higher volatility and shorter cycles. E&P operators are pursuing strategies to improve resource productivity, lower total operating costs, and reduce risk exposure.Oilfield suppliers, in turn, need to adapt to these changing operator needs. We see four themes around which suppliers can rethink their strategies, operating models, and organizations.
- Align the portfolio to "natural bundles"
- Re-think the commercial approach
- Standardize products and processes
- Transition to a "light-footprint" model
Frederic Choumert, Principal at Roland Berger and one of the authors of this study talks about core steps that oil field suppliers should take in this podcast.