The choices among asset-intensive vs. asset-light strategies continue to pose challenges to oil and gas companies in finding the optimal path to grow shareholder value. The move by major integrated players to rely on other participants for much of the operations of key value chain activities - e.g., field services, pipeline operations, and retail outlet operations - is changing their business models to become more like oil and gas investors than ever before. The continued rise and consolidation among value chain specialists are also changing value flows among industry participants.

Oliver Wyman specializes in helping clients develop and realize customer-focused, market-tested business designs to capitalize on new customer opportunities, defend against emerging competitive threats, and ultimately grow value. Our consultants have deep experience as practitioners in many segments of the oil and gas value chain:

• Integrated oil and gas companies - serving both corporate center and various business units - upstream, commercial, refining and marketing, lubricants
• Upstream exploration and production companies
• Upstream field services and equipment providers
• Midstream pipeline and transport companies
• Wholesale gas marketers and traders
• Regional and downstream-focused companies
• Convenience and fuel retailers
• Venture and private equity groups interested in investing in the oil and gas and convenience retail sectors

We have worked with leading international and domestic oil and gas companies operating in the Americas, Europe, Asia, Africa, and the Middle East.

Oliver Wyman helps utility and related energy companies address strategic and operational challenges through proven, results-oriented approaches. We have completed hundreds of engagements for over 75 of the leading electric, gas, and water utilities across North America and Europe, creating sustainable shareholder value.

As utilities over the years have divested deregulated ventures, their financial statements usually contain less debt and suggest an improved earnings outlook. However, utilities are facing several earnings challenges that place those positive earnings at risk. Aging transmission and distribution infrastructure and generation capacity shortages are now forcing many utilities to confront a major new build-out cycle. Global competition for natural resources and tight labor markets means this cycle will occur at a time when input costs are high and still climbing. In addition, there are still significant questions around the type of build-out necessary (type of baseload, next generation transmission and distribution technologies). The pressure to squeeze earnings and cash flow from existing assets in order to fund this build-out is greater than ever.

Oliver Wyman helps our clients create value by providing business strategy and operational improvement services to address the breadth of issues facing electric and gas utility companies . Our consultants have deep expertise across all segments of the utility business:

• Integrated electric, gas, and water utilities
• Nuclear, fossil, and hydro generators
• Merchant generators/wholesale energy marketers
• Independent system operators/regional transmission organizations
• Delivery electric and gas utilities
• Retail energy marketers
• Energy and infrastructure services providers
• Shared service and corporate center organizations

Oliver Wyman has a successful track record in delivering value across many different geographies