The Transformation to a Modern Trading House
Transformation of a traditional energy provider to a market-oriented trading house
The politically notified opening of the European energy markets and the associated break up of “natural monopolies” meant that established and traditional market participants were now facing fundamental challenges. The liberalization, the new competitors, the associated cost and efficiency pressure as well as the privatizations lead to a new understanding of roles and required a fundamental and necessary transformation.
Our customer, a leading gas specialist in Europe, was also facing this mammoth task. On the one hand, the security of supply and the “traditional” business had to be maintained, on the other hand, the company had to be transformed from a traditional energy provider to a modern trading house.
In the area of conflict between maintaining operations (“run-the-business”) and the transformation task (“change-the-business”), our customer needed a competent partner, who could identify the most urgent strategic and operative fields of action, develop and coordinate a process, organization and technology setup, and sustainably establish the change project within the company.
Our solution: From the “Big Picture” to an optimized project portfolio (program)
Current situation analysis: During an initial state analysis, the strategic and operative fields of action as well as the critical success factors were identified together with top management (see figure 1). The result was a common, holistic picture, which on the one hand resulted in a comprehensible prioritization of the change requirements while, on the other, providing transparency with regard to the prevailing interdependencies.
In-depth analysis: Within the scope of a more in-depth analysis of the business and IT strategy, the processes and organization as well as the IT architecture and IT governance, which was based on the proven EXXETA’s Transformation Management Approach (ETMA)®, it was possible to review and intensify the direction that had been taken together with the areas in need of action (see figure 2). The result was a coordinated roadmap, which optimally harmonized the various fields of action within the context of the strategic objective.
Sustainable implementation/initialization of a program: Based on the holistic “big picture” and the roadmap, the existing projects were transferred with the assistance of the Program Manager to an optimized, coordinated project portfolio in order to achieve the strategic goals (program). For this purpose, the individual, existing projects were assessed and prioritized within the context of strategic relevance and economic viability. With the help of EXXETA’s wealth of experience, it was also possible to establish ideal governance structures, which resulted in clear responsibilities and an improvement in transparency and communication.
Transformation brought on track
In cooperation with the company, the transformation to a modern, market-oriented trading house was driven forward. This resulted in an increase in efficiency and an improvement in the processes, organization and IT. With the help of ETMA, it was possible to quickly find suitable solutions. EXXETA provided many years of experience in the area of top management consulting supplemented by innovative and creative impulses.
Thanks to clear project responsibilities and governance structures, a clear improvement in corporate communication and transparency was achieved. Moreover, strategic initiatives were set in motion. In relation to external market dynamics, our customer has become more agile and market oriented, in order to continuously provide its expertise in the area of gas provision in a value-oriented manner.
“Due to the changing conditions within the European energy market our company was facing a necessary transformation. With EXXETA AG, we found a partner that could support us professionally when facing this challenge. In addition to the in-depth management consulting expertise and an excellent, methodical procedure, creative and innovative ideas also assisted in successfully driving forward our transformation into a modern trading house and sustainably strengthening our position as one of the leading gas specialists within Europe.”
Management board member of our customer