Energy and Mineral Business Strategy Execution

Implementing Strategies and Determining the potentially disruptive or new sources of energy over the next several decades, and the implications to corporate strategic direction and value

At Mineering, we appreciate that an energy and mineral company’s strategy will have far-reaching consequences on how resources are mobilized and how human capital will be organized and deployed; therefore we adopt rigorous, fact-based approach to address the most critical strategic, operational and organizational issus to achieving top-tier value growth consistently. Most recent engagement include:

  • Capital Project, e.g, Reassessing conventional wisdom around energy and mineral capital projects planning and operational execution (onshore, offshore, and marginal fields), as we move into new frontiers with increasing project complexities, e.g.: ultra deepwater, heavy oil and tight oil & gas.
  • Corporate/BU Strategies, e.g. Devising the next best project portfolio shape and why; and how best to sustain improved competitive growth over the near- and longer-term horizons.
  • Growth Strategy, e.g. Formulating attractive adjacency strategies to help fuel non-/organic growths in downstream energy. What opportunities do I have to get more out of my existing business model trough better allocation of resources (project financing, human capital, operating investments) in energy and mineral industry.
  • M&A Strategy, e.g., Implementing strategies for redeployment of excess cash to generate value-accretive through M&A Lifecycle.
  • Offshore Technology, e.g., Leveraging new models of collaboration, idea sourcing, and idea generation to drive innovation and offshore technology commercialization in energy and minerals markets, particularly in the shallow water and marginal fields.
  • Organization, e.g., Reengineering and developing a scalable organization that will enable the successful delivery of new growth platforms, while at the same time, preserving the strengths of the current culture.
  • Operational Excellence, e.g., Building and deploying an operations excellence philosophy, operating model and supporting corporate culture. Understanding what investments (lines of business, downstream energy products, fixed assets, etc.) aren’t contributing value to the enterprise and why.
  • Emerging Energy Market Economics & Competitive Environment, e.g. Determining the potentially disruptive or new sources of energy over the next several decades, and the implications to corporate strategic direction and value.

 

 

The followings are four areas of deep sectors experience and functional expertise’s we offer:

      1. Conventional energy & minerals markets
      2. Unconventional energy & minerals markets
      3. Functional capabilities, e.g. offshore technology, operational excellence, reservoir and development.
      4. Organizational structure & processes, e.g. governance model, organizational structure, roles and responsibilities, and management processes such as goal-setting, advanced strategy development and O&M (opertaion & maintenance) performance management.

STRATEGY

1. Strategy Development

We leverage internal and external data as well as business insights through our corporate and political network in order to help oil and gas clients to formulate strategies to chart their expansionary growth. We offer five domain of strategy developments:

    • Corporate Strategy

Devise a strategic direction for Energy & Mineral clients, leveraged by optimal remobilization of resources and synchronized business unit strategies, and plan a sustainable strategy development process.

    • Business Unit Strategy

Assist our Energy & Mineral clients formulate strategies that outperform the market from big data analysis to detailed engineering design to measurable execution.

    • Growth Strategy

Aid most ambitious Energy & Mineral client companies determine both the participation and competitive strategies, using a proprietary approach to pinpoint opportunistic growth platform.

    • Innovation Strategy

Facilitate the implementation of superior operating performance of the Energy & Mineral clients through innovation in services/products, organizational and managerial processes and business models.

    • M&A Strategy and Lifecycle

Advise on JV partners and/or acquisition targets

      • Scouting
      • Screening
      • Due Diligence (incl. valuation)
      • Transaction Execution
      • Integration (and Post-Integration)

2. Business Plan Development

    • Validate the client’s strategy and major drivers for growth (only if Mineering was not involved in developing the client’s strategy).
    • Develop annual business targets (KPIs and KGIs)
    • Identify the business activities (i.e.: acquisitive, organic growth, etc.) that would need to occur in order to realize the business targets.
    • Validate key financial assumptions and develop economic projections on CapEx, OpEx, and O&Ms.
    • Formulate executable implementation plans – comprising of various business activities, targeted outcomes, critical paths, timelines and responsibilities to roll-out the business plan.

3. Business Case Evaluation

    • Perform diagnostic assessment of a major investment project, business operation, joint venture or research program to assess the return on Invesment (ROI) and strategic fit.
    • Identify investments thesis/value creation strategy and the interdependencies required to achieve the targeted ROI.
    • Review the organization’s capabilities and identify gaps that may impede execution.
    • Recommend a path-forward strategy.

4. Business Concept Design

    • Develop a concept paper for downstreamEnergy & Mineral products, oilfield services, and/or novel business ideas.
    • Conduct a feasibility study through targeted market studies (i.e., CLV – customer lifetime value) and focus group discussions.
    • Define the business concept, determining the business/commercial viability and identifying the differentiation factors and value propositions.
    • Develop a business model for commercializing the business.


 

CORPORATE FINANCE ADVISORY SERVICES

Mineering team offers independent, impartial, strategic advice on corporate finance and value creation. We work with O&G clients on topics such as:

  • Finance Process
  • Finance Shared Services
  • Balanced Scorecard and Strategy-aligned KPIs
  • Performance-Linked Compensation
  • Performance Management Process Review
  • Valuation (Project, Portfolio, and Business Enterprise)
  • Financial Analysis and Modeling
  • Plan, Budgeting, and Forecasting
  • Strategic Cost Management
  • Profitability Analysis

ENTERPRISE RISK MANAGEMENT

We help clients integrate risk management into their business strategy and tackle key safety and risk challenges through:

  • Understanding Business Opportunity & Risk
  • Integrating Risk to Business Processes
  • Assuring the Safe Performance of Critical Systems
  • Managing Systems/Risk Mitigation
  • Project Risk Management
  • Measuring & Reporting Risk Performance

OPERATIONS MANAGEMENT

We help our clients achieve world-class operations. Blending strategic thinking with hands-on practicality, we work to develop and implement operational strategies that solve our clients’ most critical problems in:

  • Operational Review
  • Administrative Services Review
  • Strategy & Operations Alignment
  • Improvement Program (Supply Chain Integration and/or Demand Chain Management)
  • Business Process Reengineering (incl. Lean Management)

PROJECT MANAGEMENT

Our project management methodology combines the best practices from today’s project management community with experience gained over decades of successfully delivering complex projects. We know what works — and what doesn’t — in every phase of project management below:

  • Initiation
  • Planning
  • Execution
  • Control
  • Closing