Organization Design Drives Enhanced Operations

Energy Industry | United States

A fter having recently spun off from a parent company, IT operations for this E&P company required a rigorous examination of how it could best support business operations as a more nimble independent oil and gas producer. The change in ownership left employees wary of plans for the future. Key business stakeholders were also increasingly vocal about the need for improved IT services. In order to meet this need, Access Sciences was engaged to design a new to-be model for the organization using our proven organization design methodology. To achieve this we:

Defined the Strategic Intent for the IT function, through a business canvas depicting a potential IT future state, outlining the services IT would perform, its customer base, and key processes required to deliver those services.
Developed a Process Model to break-down the work conducted within the future state organization into specific actions and deliverables. This included describing processes necessary to achieve desired outcomes as well as identifying integration points between processes.
Defined an Operating Model depicting how work would flow through the organization and how decisions would be made. It broke down processes and roles into a functional view that took a request for service through to fulfillment.
Created an Organizational Structure identifying which functions were core to the client’s business, which ones could be pushed outside of IT, and how the remaining business functions could best be organized.
Assessed the Existing Organization using both IT-specific and general business competencies to define vital knowledge, skills, abilities, and values that the client desired of its employees. Differing levels of proficiency also were identified for each competency to show how knowledge and skill requirements evolve across levels of the organization.

In creating this new operating model, Access Sciences provided the client with a roadmap for achieving a target ideal state that would bring the organization into a more modern vision of how an IT function supports and works with the business to deliver value

ISSUE

After spin-off, IT department required reorganization to best support business operations

SOLUTION

Guide IT through an organization redesign program to best meet the needs of operations, while finding the best fit for the skills and abilities of existing employees

BENEFITS

Reduced cost structure
Delivery of superior customer service
Defined a future vision for the organization

SERVICES DELIVERED

Advisory Services
Change Readiness Assessment
Current State Analysis
Design Facilitation
Executive Coaching
Organizational Design
Stakeholder Management

ORGANIZATION TRANSFORMATION

To enable the transition to a new operating model, we provided the client with the criteria and actionable information to support staffing decisions made throughout this process. Key activities in this work stream included:

Position and Organizational Structure Design: A future state organization chart was developed with positions definitions describing the roles and responsibilities associated with each position.
As-Is Workforce Assessment and Skills Inventory: This activity highlighted areas within IT that were properly staffed and working efficiently as well as areas potentially needing improvement.
High Performers and Succession Planning: In assessing the workforce, high performers were identified, and key characteristics were captured, allowing for both the better identification of future hires, but also identifying employees suitable for ongoing development, mentorship, and succession consideration.
Position Mapping: Existing employees were mapped to the new organization structure with “High Performers” being slotted into the new organization first and remaining employees were evaluated further for fit with the new organization.
Organization Structure Testing: The proposed organizational structure was tested and refined at recurring periods throughout the duration of this work stream.

THE PATH FORWARD

This project represented an effort that was not just a structural reorganization, but rather a comprehensive cultural change transforming the way IT delivered value to the client. Change of this type is significant and takes time to fully realize, but the client could see some immediate benefits to developing an updated strategy:

Reduced cost structure due to a leaner organization structure, reconciled project and software portfolios, and moving towards a chargeback model for services.
Delivery of superior customer service by envisioning new ways to consult with the client, and to embed resources in client organizations.
Defined a concrete future vision that included development and mentorship for individuals and succession planning for the organization as a whole.

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