Our client is a Business Unit (BU) in a multi-billion dollar diversified energy company with a portfolio of both regulated and non-regulated businesses serving North America. Approximately 4 years ago, companies across the energy industry were downsizing. Our client was no exception. Revenues were declining and all forecasts were gloomy.
With our knowledge of the business and solid credibility built up over the years of experience working with this organization, Work Systems Affiliates was asked to assist in engineering a 30% cutback across the BU and to restructure the operation to continue to deliver on expectations. Cutbacks and downsizing are always a difficult exercise. We formed a team of knowledgeable and dedicated employees and accomplished the project, saved millions of dollars in costs, without any service interruption to current and prospective customers of the BU.
In 2005, we were asked once again to assist in a restructuring initiative for a business that was again not matching the forecast. Skyrocketing energy needs and instability in many of the oil producing countries had caused tremendous demands that our client company rushed to meet. The 2005 projected budget for pipelines and related infrastructure in this BU jumped from a forecast of $20 million to an expected $500 million!
To ensure that the BU would be able to deliver on results in the near term, we quickly positioned key technical and management personnel through a restructuring of the current operation and the development of a preferred provider outsourcing strategy. In order to avoid another wrenching downsizing, we are currently helping to build an organization for the future that is both flexible and scalable.