Conducting an R&D management-process competency review and proposing recommendations for improving upstream operations of a major South-East Asian national-oil company
The client developed its corporate strategy with a clear focus on aggressive growth and shareholder returns. Its R&D strategy had to support and enable this corporate strategy. The client needed to develop an R&D framework addressing organization, processes, culture and resource allocation to ensure effective and efficient implementation.
- Firstly, we diagnosed the internal research & technology (R&T) division capabilities and technology requirements.
- Then we conducted external benchmarking to understand the R&D strategies and approaches of other major oil companies.
- Following this, we reviewed the client’s R&D ambition and identified technology imperatives.
- We formulated implementation options focused on improving R&D management processes and organization structure & culture, and finally developed an implementable roadmap.
- We proposed detailed recommendations on setting up an E&P technology center, which would be beneficial for both EOR and CO2 M technologies.
- These technologies are domestically valued at $1.8 billion, excluding intangible and international benefits, compared to cost estimated at $150 million (ratio to cost 12:1).
- In addition to the benefits quantified domestically, there are possibilities of intangible and other benefits from international opportunities to be realized by setting up the technology center.