Companies must cope with price volatility and still gain value from the significant investments in exploration and production that they have and will have to make. Managing geopolitical and economic risk is increasingly difficult. In addition, transformational technology is shifting the competitive landscape as companies tap new energy reserves to capitalize on opportunities in these areas.
Whether they specialize in conventional or unconventional energy markets, enterprises need new approaches to this rapidly changing sector. One critical challenge that companies face is how to improve their performance in large-project capital management. Companies must successfully apply lean principles to manage operating expenses and create clear strategies for renegotiating oil and gas contracts. Linked to that is a need to rethink cost and complexity of the entire value chain. Much of the E&P sector has seen prices rise above inflation, and along with it, increased complexity in how business is done.